October 26, 2009

A Couple Thoughts on Government Intervention

Our government for several administrations now seems unable or unwilling to grasp the simple economics involved in prosperity. It shouldn't be that hard; after all, low taxes, stable money, and lack of government price and wage "fixing" were largely responsible for the massive US economic growth between 1879 and 1914 (railroads not included), and sweepingly, for every other boom in American history.

Here are two quotes to consider:

"The economics establishment still has not been able to absorb the rather simple idea that inflation is bad for economies (and thus employment), and a stable currency is good." Nathan Lewis

"Inflation: This is not only a policy imposed for its own sake [so government's can invisibly tax their people], but an inevitable result of most of the other interventionist policies. It stands today as the universal symbol of government intervention everywhere." Henry Hazlitt

Comments

A Couple Thoughts on Government Intervention

Our government for several administrations now seems unable or unwilling to grasp the simple economics involved in prosperity. It shouldn't be that hard; after all, low taxes, stable money, and lack of government price and wage "fixing" were largely responsible for the massive US economic growth between 1879 and 1914 (railroads not included), and sweepingly, for every other boom in American history.

Here are two quotes to consider:

"The economics establishment still has not been able to absorb the rather simple idea that inflation is bad for economies (and thus employment), and a stable currency is good." Nathan Lewis

"Inflation: This is not only a policy imposed for its own sake [so government's can invisibly tax their people], but an inevitable result of most of the other interventionist policies. It stands today as the universal symbol of government intervention everywhere." Henry Hazlitt